Builder is demanding money without 100% architect certificate

Jatin (Querist) 21 August 2015 This query is : Resolved
There is 5% payment remaining to be paid to builder for flat purchased. The said property is already been delayed by 5 months and he have provided 95% Architect certificate till date and demanding to pay the remaining amount. I have got home loan on the same, but bank is demanding for 100% certificate to make the remaining payment.

Now Builder is telling to pay it by 31 Aug, or he will charge interest after that. Secondly there was a delay clause in Agreement, but he is refusing to pay the delayed penalty.

Follow Query

Report Abuse

Anirudh (Expert) 21 August 2015
Dear Mr. Jatin,

It is not clear whether there is any condition/clause in the agreement between you and the builder that release of payment by you to the builder would be on the basis of Architect Certificate?

If so, citing such a clause in the Agreement and also the fact that bank is also insisting for the Architect's certificate for releasing the payment, you can write back to the builder saying that he is to first make available the Architect's certificate before payment could be released from the Bank. Keep proper acknowledgement for the same.

Check up what other purchasers in the same building are doing? If they are also facing the same problem, then try to take collective action.